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090237 1 (1978-04-24)

handle is hein.gao/gaobacvxq0001 and id is 1 raw text is: UNITED STATES GENERAL ACCOUNTING OFFICE WASHINGTON, D C 20548 LOGISTICS AND COMMUNICATIONS DIVISION APR 24 0 237 Mr. Robert P. Graham Commissioner, Federal Supply Service General Services Administration Dear Mr Graham We have completed our survey of the General Services Administration (GSA) short-term car rental contract program We found that the program porvides an economical means of transpor- tation for Government travelers Rental rates obtained through this program are well below available commetcial rates and are also lower than the rates obtained by the Department of Defense through informal arrangements with commercial car rental firms However, there are some aspects of the program which we believe warrant your attention It appears that (1) contract vehicles are insufficient to meet the needs of Goveinment travelers, (2) there is a need to issue a more useful and timely travelers pocket guide to provide information on this program, and (3) full insurance coverage included in contract rates is not necessary Contract Vehicles are Insufficient to Meet the Needs of Government Travelers As evidenced by our survey and a GSA 1976 report, the number of vehicles available under contract arrangements are insufficient to meet the needs of Government travelers. We tested the availability of vehicles under the 1977-1978 GSA contract agreements and found that vehicles were not available 40 percent of the time However, some of the contractors did offer other vehicles at higher rates A 1976 GSA Market Research Report showed that over 50 percent of Government travelers had never attempted to use GSA car rental contracts and travelers who attempted to rent cars found that about 27 percent of the time none were available. Another indication that sufficient numbers of vehicles are not available through GSA's rental contracts is the volume of car rentals obtained through DOD's informal arrangements with six national car rental firms DOD travelers are required to obtain vehicles through GSA contracts before trying to rent a car under the DOD agreements. It appears that DOD travelers also experience a high incidence of denial because in fiscal 1977 alone Just one of the six firms reported car q0 o2 371

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